Business
Nagarro releases unaudited Q2 2025 results, posts 4.7% YoY revenue growth in constant currency and 14.2% increase in gross profit despite global macroeconomic challenges
Nagarro, a global digital engineering leader, today presented its unaudited financial numbers for Q2 2025 and released its half-yearly financial report.
About this update from Nagarro Se
[{"type":"text","content":"MUNICH, Aug. 14, 2025 /CNW/ -- Nagarro, a global digital engineering leader, today presented its unaudited financial numbers for Q2 2025 and released its half-yearly financial report.","length":183,"tagName":"p"},{"type":"image","alt":"Nagarro Logo","displaySize":"","headline":null,"caption":"Nagarro Logo","className":"","disableSlideshowImg":false,"size":{"original":{"width":400,"height":300,"url":"https://media.zenfs.com/en/cnwgroup.com/9e35894697f42eeff290d8bdf69b8ee0"},"resized":{"url":"https://s.yimg.com/ny/api/res/1.2/FydL15rKuhOMgTa8onjS_A--/YXBwaWQ9aGlnaGxhbmRlcjt3PTcwNTtoPTUyOTtjZj13ZWJw/https://media.zenfs.com/en/cnwgroup.com/9e35894697f42eeff290d8bdf69b8ee0","width":400,"height":300}}},{"type":"text","content":"In Q2 2025, revenue grew to €252.0 million, up 3.2% YoY from €244.1 million in Q2 2024. Constant currency YoY revenue growth for Q2 2025 was 4.7%. Organic YoY revenue growth for the quarter was 3.8% in constant currency, which translated to 2.4% organic YoY revenue growth in Euro terms. Gross profit grew to €83.7 million in Q2 2025 from €73.3 million in Q2 2024. Gross margin was 33.2% in Q2 2025, against 30.0% in Q2 2024.","length":455,"tagName":"p"},{"type":"text","content":"Despite excellent operational efficiency in Q1 and Q2 2025, Adjusted EBITDA was significantly impacted by the revaluation loss on inter-company loans from Nagarro SE and its cash holdings due to the weakening of the US dollar against the Euro. Across Q1 and Q2 2025, the total impact on Adjusted EBITDA of currency revaluation plus foreign exchange forward transactions was a negative €18.0 million.","length":399,"tagName":"p"},{"type":"text","content":"Consequently, Adjusted EBITDA for Q2 2025 was €30.5 million (12.1% of revenue), against €35.5 million (14.5% of revenue) in Q2 2024. EBITDA declined to €32.0 million in Q2 2025, from €32.8 million in Q2 2024. EBIT grew marginally to €23.4 million in Q2 2025, from €23.1 million in Q2 2024. Net profit declined to €8.3 million in Q2 2025 against €12.0 million in Q2 2024 mainly due to increase in income tax expense on account of withholding taxes on inter-company dividends remitted by downstream subsidiaries to their immediate holding companies. The number of clients doing m...